Trump’s $7.6 Billion Energy Project Cuts Draw Federal Probe
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The Trump administration’s move to cut $7.6 billion in grants to California and other Democratic-led states has prompted a probe by a federal watchdog.Author of the article:You can save this article by registering for free here. Or sign-in if you have an account.(Bloomberg) — The Trump administration’s move to cut $7.6 billion in grants to California and other Democratic-led states has prompted a probe by a federal watchdog. Subscribe now to read the latest news in your city and across Canada.Subscribe now to read the latest news in your city and across Canada.Create an account or sign in to continue with your reading experience.Create an account or sign in to continue with your reading experience.The Energy Department’s inspector general said it will audit the decision to slash the funding, responding to a request from congressional Democrats who argue the terminations may violate federal law and raise questions about the agency’s ability to meet its financial obligations.“The Office of Inspector General recently announced an audit which will review the Department of Energy’s processes when cancelling financial assistance and whether those cancellations were in accordance with established criteria,” Sarah B. Nelson, the Energy Department’s acting inspector general, wrote in the letter dated December 15.
The Energy Department said in October it was canceling billions of dollars earmarked for hydrogen projects, grid upgrades, carbon capture and other energy projects in blue states. The move, first announced by White House Budget Director Russell Vought, was part of a pressure campaign aimed at pushing Democrats to end a US government shutdown that lasted a record 43 days. Get the latest headlines, breaking news and columns.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againInterested in more newsletters? Browse here.“I look forward to the Office of Inspector General’s thorough review of this matter and will continue to urge that these critical, congressionally appropriated grants are reinstated,” said Senator Adam Schiff, a California Democrat who lead the request for the inspector general investigation. Of the 321 terminated awards, 79 were for projects in California totaling more than $2 billion, Schiff and other lawmakers wrote. Postmedia is committed to maintaining a lively but civil forum for discussion. Please keep comments relevant and respectful. Comments may take up to an hour to appear on the site. You will receive an email if there is a reply to your comment, an update to a thread you follow or if a user you follow comments. Visit our Community Guidelines for more information.365 Bloor Street East, Toronto, Ontario, M4W 3L4© 2025 Financial Post, a division of Postmedia Network Inc. All rights reserved. Unauthorized distribution, transmission or republication strictly prohibited.This website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.You can manage saved articles in your account.and save up to 100 articles!You can manage your saved articles in your account and clicking the X located at the bottom right of the article.